Firefighters' Retirement System Pension Board of Trustees Meeting

CITY OF BRADENTON FIREFIGHTERS' RETIREMENT SYSTEM PENSION BOARD OF TRUSTEES QUARTERLY MEETING MINUTES FIRE STATION #1 1010 9™ AVENUE W, BRADENTON, FL 34205 TRUSTEES PRESENT: TRUSTEES ABSENT: OTHERS PRESENT: Monday, December 2, 2024, at 9:30AM Brian Canaday Steve Rissler Dave Foxall Larry Covins Corey Phipps None Adam Levinson, KKJL Brad Hess, Mariner Institutional Sara Carlson, Foster & Foster Ferrell Jenne, Foster & Foster Eddie Gulash, Plan Retiree Doug Huffman, Plan Retiree Members of the Public 1. Call to Order - Brian Canaday called th e meeting to order at 9:32AM. 2. Roll Call - As reflected above. 3. Public Comments a. Eddie Gulash stated he had been on disability for almost 30 years and received a letter from Foster & Foster regarding his eligibility to continue to receive his disability benefit. Eddie s tated he was 70 years old and explained there wa s going to be a cost to go back to an orthopedic doctor to get a physician statement Ferre ll Jenne reviewed the Operating Rules and Procedures that stated a disability affidavit was to be sent out at le ast every other year to all re tir ees receiving a disability benefit. b. Adam Levinson read the language from the Ordinance that stated a disability retiree may be reexamined and the cost of the re -examination would be paid for by the plan. Ferrell Jenne commented that the language was referring to a situation where a di sability retiree appears to have recovered, and the Board was requiring the retiree to go through a new ind ependent medical examination (IME). c. The Board further discussed the disability affidavit and requested this was added to the next agenda for further discussion. The Board approved the disability affidavits to cease at what would have been the retiree's normal retirement aee, upon motion by Steve Rissler and second by Corey Phipps: motion carried 5-0. 1

d. The Board further discussed the motion. Adam Levinson confirmed the motion was effective today, so if the disability retirees were past th eir normal retirement eligibility, they did not need to complete the affidavit. Ferrell Jenne stated they would research the disability retiree ages and reach out to those who would not need to complete the document, due to Board direction. 4. Approval of Minutes a. September 9, 2024, quarterly meeting The Board approved the September 9, 2024, quarterly meetine minutes, upon motion by Dave Foxall and second by Corey Phipps; motion carried 5-0. 5. New Business a. Actual expenses through September 30, 2024 i. Ferrell Jenne reviewed the requirement to state th e actual plan expenses as of September 30, 2024. Ferrell confirmed the plan was within their budget. The Board voted to approve the September 30, 2024, expenses as presented, upon motion by Dave Foxall and second by Corey Phipps; motion carried 5-0. b. Update on Trustee terms i. Ferrell Jenne stated Steve Rissler ran unopposed and would serve another term as one of the member elected trustees. 6. Reports (Attorney/Consultants) a. Foster & Foster, Sara Carlson, Board Actuary i. October 1, 2023, valuation report 1. Sara Carlson reminded the Board that the contributions set forth in the valuation report are applicable to fiscal year-end September 30, 2026. 2. The City required contribution was $2,243,191. 3. Plan experience was favorable overall on the basis of the plan's actuarial assumption s. The primary source of actuarial gain was an investment return of 8.46% (Actuarial Asset Basis) which exceeded the 7.00% assumption. This gain was offset in part by losses associated with inactive mortality exper ience and unfavorable retirement experience. 4. Sara Carlson reviewed the State Monies and reminded the Board any funds over $700,000 would go into a Chapter 175 Share Plan. Sara reviewed the set-up of a Share Plan. Adam Levinson reviewed the language in the Ordinance that stated the shares would be divided equally amongst the members. 5. Sara Carlson stated the City had access to a prepaid contribution of $1,095,694 to offset their funding requirements. Sara confirmed that the prepaid did not earn interest. 6. Sara Carlson reviewed the actuarial assumption and method changes that were made since the last valuation report. 2

7. Sara Carlson reviewed the market value of assets and stated there were gains that still needed to be realized by the plan over the next four years. 8. Sara Carlson reviewed the unfunded actuarial accrued liability (UAAL) and the items that decreased and increased the UAAL. 9. Sara Carlson reviewed the history of State Monies and the four- year smoothing. The Board discussed the stop/restart timing. Adam Levinson suggested looking at the collective bargaining agreements that were in effect at the time. Doug Huffman reviewed the 2012 Memorandum of Understanding that stated the frozen amount. The Board approved the October 1, 2024, valuation report as presented, upon motion by Dave Foxall and second by Larry Covins; motion carried 5-0. 10. Brad Hess reviewed the declaration ofreturns requirement and stated 7.00% was a reasonable investment return assumption. The Board voted the declaration of returns for the plan shall be 7.00% for the next year, the next several years, and the lon1:-term thereafter net of investment-related expenses , upon motion by Steve Rissler and second by Dave Foxall; motion carried 5- 0. b. Mariner Institutional, Brad Hess, Investment Consultant i. Quarterly report as of September 30, 2024 1. Brad Hess gave an overview of the market environment during the quarter. Brad stated October was a strong month. 2. Brad Hess reviewed the asset allocation and stated everything was within the Investment Policy Statement ranges and no rebalancing was needed. The Board discussed real estate and Brad stated Intercontinental had made a distribution to the plan of approximately 2.00% of the commitment. Brad discussed Harrison Street and stated he did not think they should move forward with the commitment yet. The Board discussed the Intercontinental redemption queue and illiquid assets. 3. The market value ofassets (MVA) as of September 30, 2024, was $78,815,437 and the fiscal year-to-date total fund net return was 19.30%. The total fund quarterly net returns as of September 30, 2024, were 4.76%, underperforming the benchmark of 5.17%. The trailing total fund net returns for the 1, 3, and 5-year periods were 19.30%, 3.88%, and 8.37% compared to the benchmarks of 21.42%, 5.91 %, and 9.30% for the same respective periods. 4. Brad Hess reviewed the performance of each manager and did not recommend making any changes. Brad stated their research team would research GQG International Opportunity fund as there were some allegations of bribery. \N ON e. 0 f 11-\t... \ C.. \-\OlP\N~~ o 3

5. Brad Hess reviewed the Senior Direct Lending search. Brad stated they had identified three candidates, Carlyle Direct Leding Fund, Churchill Middle Market Senior Loan Fund, and Deerpath Capital Management. Brad reviewed the ownership, strategy, key strengths, and the product profile for each candidate. 6. Brad Hess stated Carlyle and Deerpath were two good options, by being the most conservative and most aggressive manager. By consensus, the Board gave direction to interview the two managers at the next quarterly meeting. c. KKJL, Adam Levinson, Board Attorney i. Adam Levinson reviewed the new Florida Law that required any new contracts or amendments would require the firm to provide an affidavit that the ent ity did not use coercion for labor or services. Adam stated the law would also require an affidavit that the entity was not owned by a "foreign country of concern." ii. Adam Levinson reviewed the new IRS withholding regulation that would impact retirees that were receiving a pension benefit and live outside the United States. 7. Old Business - None. 8. ConsentA~enda a. Invoices for ratification i. Warrant #4 7 b. New invoices for payment approval i. Warrant #48 c. Fund activity report for September 3, 2024 - November 25, 2024 The consent a~enda was approved as presented, upon motion by Larry Covins and second by Steve Rissler; motion carried 5-0. 9. Staff Reports a. Foster & Foster, Ferrell Jenne, Plan Administrator i. Fee agreement letter 1. Ferrell Jenne reviewed the Foster & Foster fee agreement. Ferrell reviewed the resources that were dedicated to the Board and members and the plan changes that had occurred over the last four years. Ferrell reviewed the two fee options and stated the fees would be effective January 1, 2025, and then tied to CPI each year thereafter. The Board discussed the services and the proposed fee increase. Dave Foxall asked if the annual increase could be 3% ver sus a CPI increase. Ferrell confirmed a 3% annual increase would be acceptable. The Board directed Adam Levinson to send out a Request for Information for plan administration services to get information on what other firms would charge for services. 4

ii. Renewal of FPPTA membership 1. Ferrell Jenne reviewed the FPPTA Board membership and stated the renewal fee was $750. The Board voted to approve renewine the 2025 FPPTA Board membership, upon motion by Larry Covins and second by Dave Foxall: motion carried 5-0. iii. Educational opportunities 1. Ferrell Jenne reviewed the upcoming educational opportunities. Steve Rissler, Brian Canaday, and Corey Phipps requested to be registered for the upcoming FPPTA Winter Trustee School. 10. Trustees' Reports, Discussion, and Action - None. 11. Adjournment - The meeting adjourned at 12:08PM. 12. Next Meetina: - March 4, 2025, Quarterly Meeting at 9:30AM. This pension board meeting has been recorded. If you wish to obtain details on specific discussions that took place during this meeting, a copy of the recording will be provided upon receipt of a public records request. Appro~ Brian Canaday, Chairman Date Approved by the Pension Board: 5

CITY OF BRADENTON FIREFIGHTERS’ RETIREMENT SYSTEM PENSION BOARD OF TRUSTEES QUARTERLY MEETING FIRE STATION#1 1010 9TH AVENUE W, BRADENTON, FL 34205 AGENDA Monday, December 2, 2024 – 9:30AM Pursuant to Chapter 286, F.S., if an individual decides to appeal any decision made with respect to any matter considered at a meeting or hearing, that individual will need a record of the proceedings and will need to ensure that a verbatim record of the proceedings is made. In accordance with the Americans with Disabilities Act, persons needing assistance to participate in any of these proceedings should contact City of Bradenton ADA/Title VI Coordinator at (941) 932-9400 or adacoordinator@cityofbradenton.com prior to the meeting. I. CALL TO ORDER/ROLL CALL/DETERMINATION OF A QUORUM II. PUBLIC COMMENTS III. APPROVAL OF MINUTES 1. September 9, 2024 quarterly meeting IV. NEW BUSINESS 1. Actual expenses through September 30, 2024 2. Update on trustee terms V. REPORTS (ATTORNEY/CONSULTANTS) 1. Foster & Foster, Sara Carlson, Board Actuary a. October 1, 2024 Valuation Report 2. Mariner Institutional, Brad Hess, Investment Consultant a. Quarterly report as of September 30, 2024 b. Flash report as of October 31, 2024 c. Senior Direct Lending search 3. KKJL, Adam Levinson, Board Attorney a. New contract requirements b. New withholding rule VI. OLD BUSINESS VII. CONSENT AGENDA 1. Invoices for ratification a. Warrant #47 2. New invoices for payment approval a. Warrant #48 3. Fund activity report for September 3, 2024 – November 25, 2024 VIII. STAFF REPORTS, DISCUSSION, AND ACTION 1. Ferrell Jenne, Plan Administrator a. Fee agreement letter b. Renewal of FPPTA membership c. Educational opportunities i. FPPTA Winter Trustee School, January 26-29, 2025, Renaissance Orlando at Sea World

IX. TRUSTEES’ REPORTS, DISCUSSION, AND ACTION X. ADJOURNMENT NEXT MEETING DATE: March 4, 2025 quarterly meeting, 9:30AM